15 Year Mortgage


15 Year Mortgage

15 Year Mortgage

A 15 year mortgage loan is considered to be a home or mortgage loan that can be paid off within a 15 year time period. A 15 year mortgage loan will usually be explored when interest rates are low or the homeowner may want to be able to pay off their home or mortgage loan faster. A 15 year mortgage loan will usually have the same interest rate and the same monthly payment for the entire length of the loan. A 15 year mortgage loan is one of the more popular choices when people are deciding whether or not they want to refinance their mortgage or loan.


A 15 year mortgage loan can have some advantages and disadvantages. When it comes to advantages, there are usually two main advantages to why people would want to obtain a 15 year mortgage loan. The first advantage is that most individuals that apply for a 15 year mortgage loan, like knowing what their principal and interest payments will be throughout the length of the loan. Secondly, a 15 year mortgage loan allows the homeowner to pay off their mortgage faster and therefore build the equity in their home faster than if their loan were for a longer period of time. When it comes to disadvantages of a 15 year mortgage loan, some homeowners don’t like having the fixed rate loans because borrowers may not be able to take advantage of the lower interest rates without having to pay the expensive refinance costs that go along with having a new home loan drawn up. One last disadvantage to a 15 year mortgage loan is that the borrower’s loan payments are higher than they would be with a longer loan term. Overall, it is usually the homeowners that are interested in owning their home outright as soon as they can are the ones that will opt for a 15 year mortgage loan. Homeowners or potential buyers will need to contact a loan specialist in your area to find out what is best for their financial needs.